BELMONT UNIVERSITY

MIKE CURB COLLEGE OF ENTERTAINMENT AND MUSIC BUSINESS

COURSE SYLLABUS

Course Title: Survey of Music Business

Course #: MBU 1110.11 Credit Hrs: 3 Semester: Summer 2005

Class Location: MBC 210 Meeting Time(s): MTWRF 9:30am-11:15am

Final Exam: Final exam is 9:30am Thursday July 7, 2005

Instructor: Dr. Wacholtz

Office: 224 B. Massey

Contacts: Phone: 460-5437 Email: wacholtzl@mail.belmont.edu

wacholtz@comcast.net

COURSE DESCRIPTION:

A study of the major areas of the Music Business with attention given to the practical application as well as the theoretical foundations. An In-depth study of organizations and a general overview of the industry. Guest lecturers from the music industry may be utilized.

COURSE OBJECTIVES:

The main objective of study in MBU 111 is to define and explain the major areas of the music and related entertainment industry in relationship to copyrights that generate profits. The course focuses on four revenue streams: music publishing, recording studios, record labels, and artist management/touring. The course explores the relationships of each revenue stream to the other, to other media, and to the overall music/entertainment industry. Students are encouraged to participate in class activities and will be tested with written examinations as announced by the instructor.

The objective is to provide a better understanding of:

· The major revenue streams of the music industry

· The components of each revenue stream and their roles in the industry

· The mega entertainment conglomerates and their country of domicile

· The copyright law with respect to the entertainment industry

· The process of taking an idea for a song through the system to presenting it to the public for sale.

· Intellectual property rights

· Music publishing operations

· Different types of deals for songwriters, publishers, recording artists and managers/artists

· The effects and industry uses of new technologies such as MP3.com, Napster, and Internet marketing, digital file sharing and downloads

· Music video production, expenses and purposes

· The principal job responsibilities of attorneys, managers, talent agents, concert promoters, musicians, publishers, recording artists, vocalists, producers, booking agents, film industry contacts, and how they interface

· Icons, message, and consumer psychographics and demographics

· A basic music and entertainment industry vocabulary

· Industry related ethical responsibilities

· Sound, lighting and effects companies in relationship to concert tours

· Industry marketing practices, promotion publicity and uses of mass media outlets

· Distribution, retail and Internet career opportunities

· Artist management and concert promotion processes and career opportunities

· Basic business strategies and non-profit organizations as related to the music and entertainment industry

· Trends for entrepreneurship and related industry strategies and career opportunities

· Retail outlets and types of distribution

· Music and radio formats, trends, demographics

· Unique business mergers and practices such as virtual corporations

· Financial information and industry breakeven points

· Recording Deals

· Recording session procedures, financials and career opportunities

· Union representation

· Industry related historical perspectives and future trends

· Industry personalities and gatekeepers

· Media promotion and publicity through Television, radio, the internet, and print media

GOALS OF THE MIKE CURB COLLEGE OF ENTERTAINMENT AND MUSIC BUSINESS:

The following objectives will be applied toward course completion:

· To provide a personalized, career-oriented and practical education that emphasizes leadership, innovation, private enterprise, and entrepreneurship.

· To equip students with the tools to think critically, communicate effectively, accept responsibility, make successful decisions, and prosper in diverse work environments.

· To emphasize quality classroom instruction within the parameters of ethical Christian principles.

Honor CODE:

As members of the Belmont community, students, faculty, staff, and administrators are all responsible for ensuring that their experiences will be free of behaviors, which compromise value. In order to uphold academic integrity, the University has adopted an Honor System. Students and faculty will work together to establish the optimal conditions for honorable academic work. Following is the Student Honor Pledge that guides academic behavior:

“I will not give or receive aid during examinations; I will not give or receive false or impermissible aid in course work, in the preparation of reports, or in any other type of work that is to be used by the instructor as the basis of my grade; I will not engage in any form of academic fraud. Furthermore, I will uphold my responsibility to see to it that others abide by the spirit and letter of this Honor Pledge.”

COURSE REQUIREMENTS:

1. Attendance:

Belmont University is committed to the idea that regular class attendance is essential to successful scholastic achievement. When the number of absences for any reason exceeds four times the number of scheduled class meetings per week (25% of meetings during summer term), the student is involuntarily dropped from the course with a grade of “WF” – ^{Belmont
University Catalog}

2. Materials: Textbooks

1. All You Need to Know About the Music Business by Donald S. Passman Fifth Edition ISBN # 0-7432-4637-3, Free Press 2003.

3. Participation and Prepared assignments: Students are expected to come to class prepared to participate. This participation includes having read any assigned materials. A passing participation grade requires the student to actively contribute to the class on a regular basis by asking pertinent questions in addition to adding to the discussions. A participation grade will be assigned for every class.

4. Testing:

A. Test One-General Overview and Intellectual Properties 25%

B. Test Two-Music Publishing/Songwriting Royalty Stream 25%

C. Test Three-Mega Entertainment/Recording/Production & Record Label Revenue Streams 25%

E. Final Exam including Distribution/Promotion/Publicity & Artist Management Revenue Stream 25%

Total Points (%) = 100

5. Basis of grade evaluation: Grading scale as per the current Undergraduate Bulletin.

Exams may consist of a variety of question types: multiple choices; true/false, short answer, matching, or essay questions. Students will be advised prior to the exam what type of questions to expect. In addition to the text, students are also responsible for any information presented in class in the form of readings, handouts, videos, exercises, cases, etc. Your instructor will announce the exact date of examination. Please see policies stated in the current Belmont University Bulletin. However, the grading system and scales are based on a formula that states that only a certain segment of the class may attain a particular grade on each exam (curve). The final grade is determined by a formula without regard to the number of students who can attain a particular overall course grade (absolute grade). Each individual test is curved with a mean/standard deviation scale. Each test score is competitive and the final course grades are not curved.

GRADING SCALE

Item/Criteria PERCENTAGE

All Unit Exams (25% each) 75 %

Final Exam 25%

Total 100%

A 93-100

A- 90-92

B+ 87-89

B 83-86 Superior to the average.

B- 80-82

C+ 77-79

C 73-76 Average or typical grade of class

C- 70-72

D+ 67-69

D 63-66 Inferior to the average.

D- 60-62

F 59-0 Failure to receive credit for the course.

MAKE UP TEXTS

Only those students with a legitimate university approved excuse will be permitted to take a make-up exam. All make-up examinations will be given on date that is convenient to the instructor.

CHEATING

Students caught cheating (during exams, through plagiarism or any other form) will result in a grade of zero (0) for that exam or assignment. Please refer to the Belmont University Student Handbook. Appropriate college personnel will be notified to determine if student will receive a grade of “F” in the course.

Accommodation of Disabilities:

In compliance with Section 504 of the Rehabilitation Act and the Americans with Disabilities Act, Belmont University will provide reasonable accommodation of all medically documented disabilities. If you have a disability and would like the university to provide reasonable accommodations of the disability during this course, please notify Tammye Tanksley, Director of Counseling & Developmental Support in the Office of the Dean of Students (460-6407) as soon as possible.

6. Class Schedule:

*THIS SYLLABUS PROVIDES A GENERAL PLAN FOR THIS COURSE. DEVIATIONS MAY BE NECESSARY AND WILL BE ANNOUNCED IN CLASS.

TENTATIVE CLASS SCHEDULE-MBU 111

Date Topics Chapters/Assignments

06/06/2005 M

Welcome/Introduction

Listen

Creative and Business Systems………………………………

Wacholtz-Chapter 1

Pages 1-12

Cast of Characters..................................................................................................................................... Error! Bookmark not defined.

Songwriters

Music Publishers

Recording Artists

Singers/BGV’s

Musicians

Record Producers

Audio Engineers

Merge Technology Engineers

Additional Creative Team Members

Wacholtz-Chapter 1

Pages 13-16

06/07/2005 T

Supporting Business Systems..................................................................................................................... Error! Bookmark not defined.

Record Labels

Recording Studios

Promotion

Publicity

Artist Managers

Talent Agents (Booking Agents)

Concert Promoters

Additional Business Contributors

Consumers

Wacholtz -Chapter 1

Pages 16-20

The Process……………………………………………………

Industry Evolution

The New Music Business

1. Songwriting/Music Publishing Revenue Stream (Intellectual Properties, Copyrights & Music Publishing).

2. The Recording Studio Revenue Stream (Musicians, Singers, and the Studio Business).

3. Record Label Revenue Stream (Mega Entertainment Organizations & Record Labels)

4. Artist Management/Personal Appearance/Touring Revenue Stream (Shameless Self- Promotion, Publicity Concert Business, Merchandise)

Centers of Creativity

Attitude

Summary.

Wacholtz-Chapter 1

Pages 21-35

06/08/2005 W

Intellectual Property Rights……………………………………

Historical Perspectives

Statute of Anne

United States Constitution

Wacholtz-Chapter 2

Pages 39-42

Passman

Section 15- pages 193-200

Acts & Agreements……………………………………………

Public Domain

The Audio Home Recording Act of 1992

The Copyright Royalty Tribunal Reform Act of 1993

The Digital Performance Right in Sound Recording Act of 1995

The Fairness in Music Licensing and The Sonny Bono Copyright Acts of 1998

The Digital Millennium Copyright Act of 1998

The No Electronic Theft Law (NET ACT) International Agreements

Wacholtz-Chapter 2

Pages 42-48-

Copy rights Continued:………………………………………..

Non-copyright ability

A Work for Hire

Authorship

Phonorecords

What Can Be Protected By Copyrights

Fixation Process

Exclusive Rights

Fair Use Rights

MP3.com, Napster.com, and other Digital Sharing Programs

Wacholtz-Chapter 2

Pages 48-70

06/09/2005 R

Compulsory License…………………………………………..

Publication

Registration

Certificate of Registration

Deposit of Copies

Mailing Address

Collective Works

Collaboration

Co-songwriting

Musical Arrangements

Sampling

Termination (Recapturing) of Assigned Copyrights

Street Realities

Key Definitions

Summary

Wacholtz-Chapter 2

Pages 48-70

06/10/2005 F

Test # 1

06/13/2005 M

Music Publishing………………………………………….

Historical Perspective

Tin Pan Alley

Music and Intelligence

Music and Emotions

Lifestyle Analysis

Professional Songwriters

Commercial Songwriting

Pitching Songs to Music Publishers

What to “Look For” in a Music Publisher

What Publishers “Look For” in Songwriters

Wacholtz-Chapter 3 and Internet websites

Pages 71-78

Publishing companies and Major Income Sources……………

Secondary Publishing Income

Passman-Section 16 &17

Pages 201-235

Bonus Section-How to Set Up Publishing Company ……..

Songwriter Deals

Passman Section 17, 18, & 19

Pages 236-261

Types of Music Publishers…………………………………….

Departments

Transfer of Copyrights & Assignment of Exclusive Rights

Splits

Types of Deals

Single Song Contracts

Certificate of Recordation

Wacholtz-Chapter 3

Pages 79-86

06/14/2005 T

Music Publishing Continued…………………………………..

Business Equity and Value

Rolling the Dice

Reassignment Process

Artist Line

Professional Songwriting Organizations

Memberships in professional The Songwriter Guild of America

The National Academy of Songwriters

The Nashville Songwriters Association International

Exploiting Copyrights

Mechanicals and the Statutory Rate

Wacholtz-Chapter 3 & Websites

Pages 86-90

Exploiting Copyrights…………………………………………

Mechanicals and the Statutory Rate

Indirect Royalty “Splits”

Reserves

Controlled Composition Clause

Foreign Mechanical Royalties

Right of “First Use”

Music Publishers’ Mechanical Organizations

American Mechanical Rights Association (AMRA)

The National Music Publishers Association & The Harry Fox Agency, Inc

Cover Tune Mechanicals

Public Performance

Performance License

Performance Rights Organizations

Historical Perspectives

Affiliation

Performance Rights Membership

Blanket License Fee

The Fairness in Music Licensing Act

Blanket License Fees

Wacholtz-Chapter 3 & look up NMPA and Harry Fox websites

Pages 90-98

06/15/2005 W

Co-Publishing and Administrative Deals……………………..

Advanced Copyright Concepts

Even More Advanced Copyright Concepts

Passman-Sections 19,20, & 21

Pages 262-306

06/16/2005 R

Song Pitching in Class

Look Up ASCAP, BMI and SESAC websites

Music Publishing Contracts and Publishing Terms…………...

The Fairness in Music Licensing Act

Blanket License Fees

Direct Payment Scheme

Collection Procedures

In The Pipeline

Payment Methodology

Payment Rates and Schedules

ASCAP-American Society of Composers, Authors and Publishers

BMI-Broadcast Music, Incorporated

SESAC

The Congress of International Societies of Authors and Composers

Additional Information About PRO’s

PRO’s Do Not:

Synchronization, Print, Direct, and Other Licenses

Key Songwriter Creative Publishing Terms

Wacholtz-Chapter 3

Pages 98-111

06/17/2005 F

Test 2

06/20/2005 M

Record Labels………………………………………………….

Selling the Product

Historical Perspectives

Mega-Entertainment Corporations

Bertelsmann’s AG (BMG)

NBC-Universal

Sony (Song BMG)

AOL-Time Warner (Warner Music Group-Broufamann)

EMI Group

Disney/ABC, DreamWorks SKG

Typical Divisions flow chart

Wacholtz-Chapter 5 and look up Mega Internet websites

Pages 145-158

Labels Continued:……………………………………………..

Major Labels

Affiliate Labels

Independent Labels

Virtual Reality/Internet Labels

Departments

Marketing

International Divisions

Types of Deals

Signing Bonuses

Royalty Points

Recoupment

Packaging Charges & Discounts

Wacholtz-Chapter 5 and look up record label sites

Pages-159-173

06/21/2005 T

Record Deals (Overview of the Record Business)……………

Advances and Recoupment

Passmann-Sections 7 & 8

Pages 61-84

Real-Life Numbers ……………………………………………

Passman-Sections 9, 10, & 11

Pages 85-127

Advanced Record Deal Points ……………………………….

Advanced Royalty Computations

Loan-out, Independent Production, Label and Distribution Deals

Passman-Section 12, 13, & 14

Pages 128-192

06/22/2005 W

The Studio Business…………………………………………..

The Recording Team

Unions

SAG/AFTRA

AF of M

Scheduling Sessions

The AF of M Special Payment Funds

Additional Industry Unions, Guilds & Professional Organizations

Non-Union Recording Sessions

Wacholtz-Chapter 4

Pages 112-122

Types of Recording Studios…………………………………...

Key Studio Terms & Equipment

Creative/Business Milieu

Stages of a Recording Session

Pre-production

Basic Tracks

Overdubbing

Mix down

MIDI/Computer Recordings

Mastering

MPEG & Win amp

Liquid Audio

NAMM International Music Products Association

NARM The National Association of Recording Merchandisers

The National Association of Recording Arts and Sciences

Wacholtz-Chapter 4

Pages 123-135

06/23/2005 R

Recording Budgets…………………………………………….

Recording Studio Rental

Album Budgets

Label Recording Artists and Studio Vocalists (AFTRA Scale)

Audio Engineer’s Scale

Record Producer’s Scale

Recording a Demo

Key Terms and Definitions

Wacholtz-Chapter 4

Pages 135-144

06/24/2005 F

Test # 3

06/27/2005 M

Classical Music ……………………………………………….

Passman-Section 26

Pages 365-370

Financials & Distribution……………………………………..

Right to Work Clause on Albums

Key Label/Artist Negotiation Points

Manufacturing Platforms

Product Platforms

Pricing Strategies

Types of Distribution

One-Stops

Direct Mass Merchandisers

Rack Jobbers

Record Clubs

Television Outlets

Internet/Interactive Outlets

Wacholtz-Chapter 5

Pages 173-188

06/28/2005 T

Distribution & Promotion……………………………………..

MP3.com

Peer to Peer Marketing

Financial Advantage of Internet Downloads

Other Types of Retail

Product Return Rates

Free Goods

Piracy

MAP policy

Promotion

Radio station airplay

Radio Station Formats

Crossovers

Payola

Street Promotion

Radio Promotion Budget

Internet Radio

Wacholtz-Chapter 5

Pages 188-198

06/29/2005 W

Trades………………………………………………………….

Billboard Magazine

Top 40 Airplay Monitor

Country Airplay Monitor

R&B Airplay Monitor

Rock Airplay Monitor

Gavin Report

Radio & Records

Music & Media

Trade Magazine Expenditures

I Want My MTV